Yeah you get to keep some toys but they seem to have most of the problems metamorphed dragons usually have (losing damage in return for a harder slot layout). I'm of the opinion they were never balanced properly. The real dragons have a hard time of it, but there final form has a bunch of nice resists. Transformed dracs aren't going to grow into great wyrms, you've got the downsides with very few ups. Enough good rings, but by then a humanoid has a crazy good gear setup too.

Wobbly--yes. I played dragon way back when in Posband a few times. Most of the species were just awful: terrible damage, and painfully limited use of "branded" attacks; I was unable to win. The big deal for dragon races was PASS_WALL. With that, i was able to win. That is fun, but highly unbalanced.